BlackBerry Q1 FY2027 earnings beat and raised outlook

What happened: On June 25, BlackBerry (BB) reported first-quarter fiscal 2027 earnings, beating estimates with a net income of $35 million, up from a loss of $181 million last year. Revenue grew 26% year-over-year to $152.9 million, driven by its QNX embedded software business. The company also raised its full-year outlook, citing accelerating growth and expanding opportunities in AI. Shares surged 19.95% to a new 52-week high of $10.34.

Market impact: The earnings beat and raised outlook pushed BlackBerry's stock up nearly 20%, making it one of the top performing tech stocks of the day. This move attracted investors who had previously viewed BlackBerry as a nostalgia trade, now seeing it as a growth story in automotive tech and robotics. The company's positive results also boosted sentiment in the broader cybersecurity and embedded software sectors.

What to watch next: BlackBerry's next earnings report, scheduled for September 23, will be crucial to maintain momentum. Investors will closely watch QNX's performance and the company's updated fiscal 2027 revenue guidance. Additionally, any significant developments in AI or autonomous vehicle technology, where BlackBerry has a strong presence, could further impact the stock's trajectory.